Trade Secret
Also known as: Business Secret, Confidential Information, Know-How, Ticari Sır, TCC Article 55(1)(d)
Author Ali Gül
In short
Information belonging to a business that is known only to a limited circle, in whose secrecy the holder has a legitimate economic interest, and which the holder takes measures to keep confidential.
Trade secrets are confidential information giving a business a competitive advantage — customer lists, pricing and cost data, formulas, production methods, software source code, business plans and supplier terms. Unlike patents or copyright, they do not depend on registration and are protected as long as they remain secret.
Legal Protection
Turkey has no specific trade secrets statute. Protection comes from several sources:
- Unfair competition (TCC Article 55(1)(d)): Exploiting or disclosing information obtained secretly and without authorisation, or otherwise unlawfully, is contrary to good faith. Inducing employees to disclose or obtain business secrets is also unfair competition (TCC Article 55(1)(b)(3)). See Unfair Competition.
- Employment law: Employees may not use or disclose production and business secrets learned during employment; to the extent necessary to protect the employer’s legitimate interests, this duty continues after employment ends (Turkish Code of Obligations Article 396). For post-employment non-competes see Employee Non-Compete.
- Criminal law: Disclosing information qualifying as a trade secret to unauthorised persons is an offence under Turkish Criminal Code Article 239; see Disclosure of Trade Secrets.
- Contract: Non-disclosure agreements and confidentiality clauses in employment contracts clarify the scope of protection and the consequences of breach.
Internal Measures
Success of a trade secret claim in court depends largely on the measures the company has taken:
- Classifying and marking confidential information
- Limiting access on a need-to-know basis and keeping access logs
- Confidentiality agreements with employees, consultants and business partners
- Return of devices and documents and closure of accounts when employees leave
- Information security policies and employee training
Remedies
Civil proceedings to prevent and stop the infringement and claim damages; preservation of evidence and interim injunctions in urgent cases; and, where applicable, criminal proceedings upon complaint. For algorithms and software see Computer Program.
Frequently Asked Questions
Is there a specific trade secrets law in Turkey?
No. Trade secrets are protected through the unfair competition provisions of the Turkish Commercial Code, the employee's duty of loyalty and confidentiality under the Turkish Code of Obligations, Article 239 of the Turkish Criminal Code and contracts.
What makes information a trade secret?
It must not be generally known or readily accessible, the holder must have an economic interest in keeping it secret, and the holder must have taken reasonable measures to protect its confidentiality. Without such measures, it is hard to prove that information was secret.
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